Well the pathetic saga continues.
Popped to the Apple store last night with my damaged phone, guy there said that because I didn't buy it from them, there is nothing they can do, but if I take it back to the O2 shop, they should replace it regardless of whether it's my second handset or not. Was a bit miffed, but as I didn't have a Genius Bar appointment I could only go on what He told me.
Went back to the O2 shop earlier, showed them the handset, they all looked at it and had the cheek to imply that I had damaged it and that I should have checked it before I left the shop. All in all, they said that as it was already a replacement that they can't issue another and it has to be sent to Apple for evaluation, and even then Apple might not replace it. I argued the toss until I was blue in the face. They wouldn't even let me cancel the upgrade and revert back to my original tariff as they wouldn't take a damaged handset back. But they'd ******* hand one out!
I phoned O2 customer services there and then in the shop, the guy on the phone basically said the same thing as the others, and that it was down to the policy of the store I was in.
In the end, the 'duty manager' said He would phone his manager tomorrow and see what they say, if they offer a replacement out of good will then all is well, if not, it has to be sent off, or I take out insurance and claim on that.
Total pain in the **** and a waste of my time, and to be honest I just want rid of the whole thing. Sick of being fobbed off by people who have an answer for everything.